Hershey Company
Q1 2026 Earnings
Market Reaction
S&P 500 over the same 30 days: +5.69%.
Did HSY Beat Earnings? Q1 2026 Results
Hershey kicked off fiscal 2026 with a notably strong first quarter, posting adjusted EPS of $2.35 and beating the $2.05 consensus estimate by 14.67%, while revenue of $3.10 billion grew 10.7% year over year and topped Wall Street's $3.03 billion forecast by 2.57%. The headline driver was aggressive pricing, with approximately 10 points of net price realization powering consolidated sales growth even as volume slipped roughly 2 points due to expected elasticity. North America Confectionery, the company's core engine at $2.49 billion in segment sales, delivered 8.3% growth with margin expanding 150 basis points to 31.8%, as flagship brands Hershey's and Reese's each posted double-digit non-seasonal retail sales lifts. An emerging tailwind also drew attention, with demand for Ice Breakers mints climbing amid growing GLP-1 drug adoption. Hershey reaffirmed its full-year 2026 outlook, targeting net sales growth of 4% to 5% and adjusted EPS growth of 30% to 35%, implying a range of $8.20 to $8.52, even as tariff-related costs and elevated commodities remain headwinds.
- Net price realization of approximately 10 points driving organic sales growth
- Hershey's non-seasonal retail sales lift of 11% and Reese's of 10%
- LesserEvil acquisition contributing approximately 20 points to Salty Snacks segment growth
- Supply chain productivity and transformation program savings
- Lower derivative mark-to-market losses versus prior year boosting reported results
“We kicked off the year strong and are on track to hit our financial targets for 2026. Hershey's and Reese's are key drivers, delivering first quarter non-seasonal retail sales lifts of 11% and 10%, respectively. We are laser-focused on fueling core growth and making bold moves in brand investment, innovation, R&D, technology, and talent to drive our business to new heights.”
Hershey CEO, on the earnings call
Forward Guidance & Outlook
Hershey reaffirmed its full-year 2026 outlook: net sales growth of 4% to 5% (including approximately 150 basis points from the LesserEvil acquisition), organic net sales growth of 2.5% to 3.5%, reported EPS growth of 79% to 89%, and adjusted EPS growth of 30% to 35% (implying adjusted EPS of $8.20 to $8.52). The company expects an effective tax rate of 25%-27%, interest expense of $200-$210 million, capital expenditures of $425-$475 million, and approximately $100 million in Advancing Agility & Automation Initiative savings.
HSY YoY Financials
HSY Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.